In the 90s Intel was considering switching to making a completely new chip. It was simpler and consumed less power. It was clear, that the chip application would be on mobile devices, which would also be the future of computing. There was just one problem - it would be less profitable to make them than to continue the production of existing chips.
A couple of years later, Steve Jobs approached Intel with an offer to make chips for his new iPhone product. Intel, and Jobs himself at that time thought that the product would be niche. After some thought, Intel turned down the offer. Again, it was simply not feasible to serve the emerging niche market.
I can see how perfectly sensible that decision was. Investing in a new, risky product. Similar ventures in portable devices have failed. Even if it became a success, then it would still make less money than the current product - the chips for PCs. No way you would get such a project approved by any sensible board of directors.
Several years later, Apple made more money from the iPhone than Intel from PC chips.